Intel price cuts on July 23, no longer rebates for OEMs

DigiTimes reports Intel will no longer offer rebates to OEMs that place large-quantity offers. In addition, Intel also presented a new price list with significant reductions which will go into effect on July 23.

Taiwan OEM makers commented that Intel announced the pricing at the IDF event and it will implement the "equal OEM and channel pricing" strategy by September. The makers expressed concern that the strategy would remove the incentive to place high quantity orders with Intel and that the move to force consistent pricing in the market would impact their working relationship.

Taiwan-based clone PC companies said the move, which follows Intel's Channel Marketplace ("Cedar Wood") program that was launched April (see March 26 article), is an effort to boost the competitiveness of PC sellers in the channel to support the DIY market against the giant desktop OEMs.